• Tether CTO Paolo Ardoino recently announced that the stablecoin has no exposure to Silvergate, a distressed US bank.
• Circle also released a statement saying that despite its exposure to Silvergate, all customer assets remain safe and secure.
• Silvergate Capital’s stock saw a decline due to the postponement of its annual 10-K report and year-to-date losses widened to 57%.
Tether Has No Exposure to Silvergate
Tether, the stablecoin pegged to the U.S. dollar and backed „100% by Tether’s reserves,“ according to its website, took to Twitter today to announce it had no exposure to the California bank. According to Paolo Ardoino, CTO of Tether, the stablecoin has no exposure to Silvergate.
Circle’s Comments on Silvergate
In a separate tweet, Circle said on Mar. 2 that despite its exposure to Silvergate, all customer assets remain safe and secure.“We are sensitive to the concerns around Silvergate and are in the process of unwinding certain services with them and notifying customers,“ Circle tweeted.
Silvergate Capital Stock Decline
Silvergate Capital, the holding company of Silvergate bank, saw a decline in its stock on March 2 due to the postponement of its annual 10-K report. The bank is currently evaluating recent events that took place after the end of 2022. As a result, Silvergate Capital’s year-to-date losses widened to 57%.
Market Cap & Reserves
USDT and USDC are the two biggest stablecoins by market capitalization, each accounting for $71 billion and $42.9 billion respectively. According to a recent CryptoSlate report Wall street institution Cantor Fitzgerald reportedly manages $39B of Tether’s reserves which includes approximately $39.2 billion of U.S Treasury bills..
This article discussed how Tether has no exposure or ties with troubled US Bank ,Silvergage as per CTO Paolo Ardoinio’s announcement .Circle also commented about their involvement with silvergae stating that customer assets remain safe but they will be unwinding certain services with them .The article concluded by mentioning how USDT & USDC are two biggest stabelcoins leading market cap followed by Wall Street Institution managing 39 Billion for tether reserves including approximately 39 Billion U S treasury bills .